Streaming is a major industry. In 2020 alone, viewers spent 482.5 billion hours on mobile livestreaming apps. That equates to every person on Earth watching an average of 60 hours of live streams a year.

It’s no joke. That’s a lot of exposure. 

So, that’s why today we’re going to look at Amazon’s live streaming solution: Amazon Live.

What is Amazon Live?

Amazon Live is a streaming service on the Amazon platform. Users can find it under the “Programs & Features” in the side menu. There viewers can watch live videos and recently live videos of Amazon sellers marketing their products.

While watching these videos, users receive information regarding the products featured during the stream. This means that sellers have another avenue to drive conversions.

This gives buyers the ability to follow their favorite companies, interests, and influencers on the Amazon platform. What’s more, buyers can interact with them directly.

This offers an excellent way for sellers to interact directly with potential customers while expanding their marketing efforts. 

So, who can create an Amazon Live? In short, Amazon Live is currently only available on the US marketplace to Brand Registered merchants and vendors. 

If you’re looking to become Brand Registered or a vendor, or currently are one, this is an option you should explore. 

Getting Started With Amazon Live

To start with Amazon Live, you’ll need to familiarize yourself with the program and prepare how you intend to produce content.

When you’re ready, you’ll just need to download the Amazon Live Creator app to begin. The software is specifically designed for IOS devices such as iPhones and iPads. There is currently no support for Android smartphones. 

Brand merchants, vendors, and influencers can stream on the app using their Seller Central or Vendor Central account information. Additionally, more than one person on your team can install and use the app. With multiple log-ins, this allows those on camera to focus on the stream while the others interact with conversations in the chat section.

For the best streaming quality, you may also use an external camera and additional broadcast software.

Remember, this is more than selling a product, it’s engaging an audience with consumable content. A low-quality stream will do little to drive customers to your listings. 

Step-by-Step Guide to Starting Amazon Live

• Get the Amazon Live Creator App – Simply download the app for IOS. Whether you intend to use your device’s camera or are opting for an external step-up, the app is essential.
  
• Sign in with your Seller, Vendor, or Influencer account – As we said, sign-in with your Amazon information. From there you can create your Amazon Live profile accordingly
  
• Choose your Brand and enter your profile name – When marketing on Amazon and beyond, always remember your brand voice. Your profile name should reflect that voice.

• Choose the products you want to feature. – This is the fun part. Decide which products you would like to boost engagement for. These could be your flagship products or even new products that need help building momentum.
  
  Regardless, these are the products that your viewers will be able to purchase immediately while watching your Livestream.
  
• (Optional) Boost your Livestream – When first starting on Amazon Live, you may find it beneficial to boost your stream. At this stage, you will receive the option to do so. This will show your video, page, and product details across advertising locations on Amazon’s platform.
  
  This is highly recommended if you’ve yet to establish an audience.
  
• Check Your Equipment and Go Live – Finally, you can go live. Check your camera preview and any external equipment you’re using.
  
  No one wants to get halfway through a stream only to realize the lens cap is still on. 

The Benefits of Streaming on Amazon Live

Streaming on Amazon Live offers a set of unique opportunities to sellers to improve their customer engagement. 

Kicking the Tires

As we’ve discussed, streaming on Amazon Live gives you more options to engage with shoppers, and improve your discoverability, but there’s more.

Digital sellers face a unique dilemma that is difficult to address: customers like to kick the tires. 

Livestreaming yourself handling and demonstrating your products provides a close substitution. Although customers cannot handle a product themselves, they gain some satisfaction seeing it in action.

Of course, there’s also the added benefit of live engagement, allowing you and customers to discuss the product directly. 

Adding a Face to the Brand

Some buyers are particularly interested in who’s behind their favorite brands. Amazon Live allows sellers to give their customers just that. By adding a face to a brand, sellers can build better relationships with customers for better brand trust and loyalty. 

This particularly benefits brands who want to engage their customers more personally.

Remember to encourage your viewers to follow your brand so they know when you’re live. 

Level Up For More Benefits

Amazon has different levels for sellers who utilize its streaming platform. The higher the level, the higher the benefits.

Leveling up requires a review by Amazon Live, and you can track your progress to each level with the Amazon Live Creator app. Benchmarks for leveling up include time spent streaming and sales/units sold. 

So, let’s take a quick look at each of these levels. 

Level 1: Rising Star

Rising Star is the first level. 

At this level, you can Livestream whenever you want, and your stream will have a follow button for your viewers. Streams at this level are eligible to automatically appear in the product category rows on the Amazon Live homepage. 

As your account levels up, your streams become eligible to appear in more places such as the Amazon homepage itself. 

Level 2: Insider

Insider is the next step. It includes all the same benefits as Rising Star, but with the addition of becoming eligible to appear at the top of the page on Amazon Live’s home page. 

This may seem like a relatively small bonus, but that top placement means an exponential increase of impression for your stream. 

To reach Insider, you must stream for at least 90 minutes over 30 days. 

Level 3: A-List

With all the benefits of the previous levels, A-List is when your streams finally become eligible to appear on Amazon’s home page.

You also get the added benefits of priority support and priority access to Amazon Live special events and opportunities. 

To reach this level, you will need to stream for 1,000 minutes in 30 days, and drive 5,000 purchases or sell 100 products. 

Quick Tips

• Set a streaming goal – Establish a schedule for your stream with minimum run times. This consistency will help you build an audience, and better your chances to reach more viewers.
  
• Use Live-only promotions – Promotions available only when you’re live will make viewers invested in knowing when you’re streaming.
  
• Encourage viewers to interact – Invite viewers to ask questions in the comment section. This does more than engage customers. It lets you know what points of your products interest your customers. 

Need Help Marketing on Amazon?

No matter what you’re selling on Amazon, you need discoverability. No one is going to buy your product if you don’t know it exists. Amazon Live helps you do that by providing an avenue to reach out to customers.

But how are you going to juggle a streaming schedule with everything else you have to run in your Amazon Marketplace?

Contact us today for help managing your Amazon Marketplace and getting the edge you need to compete. We help with everything from education to the total handling of your Amazon profile. Free yourself to work on the parts of the business that are important to you. 

Has your brand reached out on Amazon Live yet? 

Amazon DSP offers a unique opportunity for brands to advertise directly to their target customers. But what is it, and what makes it different from Amazon’s other advertising solutions?

That’s exactly what we will be answering today. 

What is Amazon DSP? 

Amazon DSP, Demand Side Platform, is how you can buy those display ads you see everywhere. These banners and video ads vary in appearance but have incredible reach. That alone makes them something you should consider in your next marketing campaign. 

These ads are able to reach target audiences in specific places and times to encourage conversions.

Plus, once these ad campaigns collect enough information, DSP providers can optimize the campaign to perform according to Amazon DSP campaign goals. 

What’s the Difference Between Sponsored Display Ads and DSP? 

So, what’s the difference between Amazon DSP and Sponsored Display Ads?

First of all, Sponsored Display Ads are self-service, have no minimum, and have a low barrier of entry.  They’re also remarkably easy to build. So, what’s the downside? The answer is that they lack the precision that makes an effective ad campaign.

In contrast, Amazon DSP ads give brands significantly more control over their campaigns and provide a more powerful alternative to Sponsored Ad Displays. With DSP, brands decide who, what, where, and even when your ads appear. This is what makes it stand out among Amazon’s marketing solutions.

How to Use Amazon DSP to Reach Your Target Customer 

Before we discuss how to use DSP, we need to understand what the goals of your advertising campaign are, and who your target audience is. Figuring this out first will help you communicate your goals with your DSP provider for a more effective ad campaign. 

Always remember, that targeting your ideal customer is a key component of an ad campaign. This is the customer who will value your product the most and resonates with your brand’s purpose.

For a more in-depth guide on identifying your ideal customer, take a look at our guide on making a listing that stands out by keeping the customer in mind. 

From there you can consider the customer’s journey with your ideal customer in mind. 

• Awareness – The customer isn’t engaged. That means you first need to make them aware of your brand. Measure awareness by searches and click-through rates.
   
• Consideration – The customer is considering what they want. They’re engaged, but they’re not certain. You can measure consideration by detail page views and total detail page view rate.
  
• Purchase intent – Similar to consideration, the customer is uncertain. However, they are now intending to make a purchase, and are comparing you and your competitors for the best value. The metrics for purchase intent include add-to-cart and total add-to-cart rates. 
• Purchase Evaluation – The customer at this stage is reviewing the product before making a purchase in its category. 

• Purchase – The customer has finally purchased and converted on your Amazon listing. Which you can, of course, measure by purchases.
  
• Loyalty – More valuable than the purchase, customers at this stage have not yet subscribed or saved your offers to return again. 

It is vital to take every step of this journey into careful consideration. What does it take to get your ideal customer to continue on this journey with you? What does this say about your campaign goals? Answer that, and you’re ready to begin with DSP. 

Finally, it’s time to start with DSP.

The best part of this is the ability to take relevant DSP ads and put them in front of your targeted audience. 

We recommend that you begin your journey with DSP in small steps. Run tests on Amazon shoppers who have already viewed and/or purchased your product. From there you can tailor your DSP ad campaigns accordingly to the results you garner from these tests. 

What Else You Need to Know

Before you jump both feet into Amazon DSP, there’s some important information you need to know.

First off, you do not own any of the data through DSP as it’s an entirely separate platform from your Seller Central portal. What’s more, you will typically need to have Amazon run your DSP which usually incurs a $35k spending minimum.

Alternatively, you can work with another DSP provider that may offer lower spending minimums.

And as we discussed before, always know your Amazon ad goals before you commit to DSP. An unfocused ad campaign is certain to have a poor ROI.  

Conclusion

A poorly executed ad campaign can lead to a significant loss for any brand. That is why it is important to understand your goals and to understand the platform you’re interested in using, such as Amazon DSP. You don’t have to go at it alone. 

Contact us today for help managing your Amazon Marketplace and getting the edge you need. The services we provide range from education to the total handling of your Amazon profile. This frees you to work on the big picture. 

What is your experience with DSPs? 

Everyone who sells on Amazon should be familiar with Seller Central. It’s the place where they manage their listings and makes it possible to sell directly to Amazon customers. It’s the go-to for making a new listing or managing existing ones. 

However, what about the lesser-known Vendor Central? What’s the difference? What platform should a seller use? It’s enough to keep you up at night.

That’s what we’re going to look into today. 

The Big Difference 

Let’s start with the biggest difference between the two platforms. This is likely what will decide whether Vendor Central or Seller Vendor is for you.

The difference between Vendor Central and Seller Central is simply who is doing the selling. With Seller Central, the seller sells directly to the Amazon customer either through FBM or FBA. It offers the flexibility to manage your Amazon marketplace, including the price and inventory.

Vendor Central, on the other hand, the seller isn’t selling their products directly to the customer. They’re selling typically bulk orders of their product to Amazon. Amazon then resells the product to their customers. While this is a quick way to move whole inventories, it also comes with a loss of control.

The bottom line is that Seller Central gives third-party sellers a lot of control over the selling process. Vendor Central provides instant credibility and quick revenue. 

And although this is the biggest difference, let’s take a look at how else the platforms differ. 

Amazon Seller Central 

This is the platform most of us who work with Amazon are familiar with. It enables independent sellers to sell directly to Amazon customers. 

Independent sellers are responsible for more than half of everything sold on the platform. 

These third-party sellers work through Seller Central. They’re responsible for creating their product listings, Amazon storefronts, and are the essential digital retailer. Whether you’re a brand owner or another vendor, you’re most likely working with this platform. 

Here are some quick facts on Seller Central: 

• You sell directly to Amazon Customers
• You control the pricing structure
• You either ship products yourself or use FBA
• You have full control of what you’re selling 
• Inventory Management is your choice 
• You are responsible for your own advertising 
• It’s open to anyone

Most of the sellers that operate through this platform are either smaller sellers or those invested in the direct control of their sales. Additionally, most of these sellers are using Fulfillment by Amazon for their shipping and storage needs.

If you’re interested in this option, take a look at our guide on how to leverage FBA for online sales success. 

Amazon Vendor Central 

Vendor Central is a more specialized platform that connects manufacturers and customers. Which is typically beyond smaller individual sellers. Rather than selling directly to a customer, sellers sell to Amazon which functions as the middleman.

VC sellers sell their products to Amazon at a lower profit margin in large volumes. Amazon then resells the product under its brand. These sellers are first-party sellers rather than third-party.

This means rather than functioning as an independent retailer, you’re now the supplier of an Amazon product.

That means, once invited to the platform you will be able to negotiate prices and terms with your Amazon buyer as you would a traditional distribution model. You will then sign a vendor agreement, receive a purchase order, and you will ship the agreed-upon product to Amazon. 

As the product sells, you will receive replenishment purchase orders.

Here’s what you need to know about Vendor Central: 

• The platform is invitation only
• You sell directly to Amazon 
• Amazon controls the final retail price
• You’re finished once you ship your product to Amazon
• You’re responsible for advertising as you are on Seller Central
• Amazon decides what they think will sale
• Amazon controls the inventory management

Vendor central is naturally appealing to those who want to free themselves of small orders, dealing with fulfillment, or the associated costs. However, whichever you choose is highly dependent on your business model. 

What are the Advantages of Vendor Central?

Working through Vendor Central has some advantages over seller central that are worth mentioning. 

• Seller Support – Vendor Central provides support from Amazon itself. This includes catalog updates and management to customer service. 

Contrast this with Seller Central which puts a lot of the burden of these tasks on sellers. This is good for sellers wishing to handle these tasks themselves, but less so for sellers looking for a more streamlined approach.

• Marketing Support – Vendor Central sellers receive access to special marketing options such as their brand page, exclusive promotional programs, and more.
  
  These include early Vine Access to have products reviewed by Amazon’s select few reviewers. This gives new products a powerful boost on launch.
  
• A Streamlined Business Model – First-party sellers have simplified selling experiences compared to that of third-party sellers.
  
  Vendors focus on filling orders directly from Amazon. Beyond that, the platform handles the rest. What’s more, vendors experience significantly less competition when selling directly to Amazon.
  
• Consumer Trust – The biggest advantage to vendors is that Amazon’s credibility backs the product. Consumers trust the Amazon brand. Thus, this frees vendors from needing to further establish their reputation. 

Despite its benefits, it’s important to remember that Vendor Central is an invite-only platform. This limits the option to sellers with large inventories and supplies.

Additionally, Vendors lose a lot of the flexibility that comes with working through Seller Central, and they sell their bulk items at a significantly smaller profit margin.

Who Benefits Most From a Move to Vendor Central? 

Who benefits the most from Vendor Central can be highly dependent on ASIN.

ASINs that benefit the most from a move to Vendor are passed a successful launch and are ready to market via pay-per-click. In addition, these are ASINs already optimized and have a healthy amount of reviews. Essentially, these are products that have just reached the middle stage of their lifecycle.

In terms of sellers, Vendor Central is beneficial to those looking to move a large volume of a given product, but are struggling to do that on their own. This also includes large brands that are not interested in managing the process of selling a product. 

Therefore, Vendor Central is not for small sellers, or those looking to control their selling process.

Vendor or Seller?

There are significant advantages and disadvantages to both platforms. Deciding which one to choose can be a daunting task. This requires education and an understanding of your brand to make the right decision.

That’s not to mention that even having the opportunity to work through Vendor Central requires an invite. Which can depend on established success on the platform.

Meaning that an aspiring vendor will need to know the ins and outs of Seller Central as well as Vendor Central.

Contact us today for help managing your Amazon Marketplace and getting the edge you need to compete. We help with everything from education to the total handling of your Amazon profile. Our goal is to free you from the tedium to focus on important things.

Have you had the chance to try out Vendor Central?

Of all the sellers on Amazon, 73 percent use Fulfillment by Amazon (FBA,) and for good reason. FBA enables sellers access to storage space and fulfillment options that can prove difficult for independent sellers. However, it also comes with a variety of costs and fees that can eat into a seller’s bottom line.

There are some instances where FBA is not suitable. In these cases, sellers are better off using the Fulfillment by Merchant (FBM) model. Therefore, sellers need to make sure they understand the two options and when each one is appropriate. 

That is why today we’re going to take a look at what FBM is, how it works, and when to use it over FBA. 

FBM vs FBA

We often talk about Amazon’s FBA platform as it offers massive benefits to online retailers. From storage to fulfillment to shipping options, Fulfilment by Amazon offers an effective option for most sellers starting their online business. 

This is because this program grants sellers access to a virtually limitless storage space through a network of warehouses and Amazon’s customer services to help manage customer concerns.  

However, this service does have its drawbacks. There is an array of costs and fees which sellers need to take into consideration to make the most out of the FBA program. Amazon takes about 15% of each sale on top of the fulfillment fee which certainly cuts into profits.

This cost is often worth the utility FBA offers, but how about when it’s not? 

When FBA isn’t viable for healthy profit margins, sellers can manage their items via Fulfillment by Merchant, FBM. 

FBM is the natural opposite of the FBA platform. Under this fulfillment system, sellers are responsible for their storage, shipping, and customer services. This can be a challenge for sellers without the established logistics to ensure quick fulfillment.

So, let’s take a look at what circumstances this fulfillment option beat out the highly praised FBA. 

When and Why FBM is Better for Sellers Than FBA

FBM offers a handful of benefits over FBA that can highly depend on what a seller carries and how they want to manage their inventory. 

Large and Oversized Products

The most obvious benefit of FBM is when sellers are looking to move large and oversized products. This is because FBA fees for these products are substantially higher, the bulk of which comes from the cost of storing and shipping such large items.

FBM sellers avoid these costs by handling and storing the product themselves.

Small or Slow-Moving Stock 

Are you selling an item that just doesn’t move quickly because of its niche or high value? FBA storage fees could be cutting into your profit margin. Sellers with these items can look to FBM solutions to save money on storage and fulfillment fees. 

Personal Connection

If you’re looking to connect with your Amazon customers on a more personal level, FBM is a good option. Sellers using fulfillment by merchant solutions have greater control over their product packaging, handling, and shipping. Thus, allowing for more opportunities to engage their customers. 

Dealing With Storage Limits When launching 

Launches drain inventory fast, and that risks dreaded out-of-stock periods while sellers wait for Amazon to process new inventory. 

FBM helps sellers avoid these issues by keeping some of their inventory for the launch at home or another storage location for their launch rather than using their FBA inventory. 

The Downsides of FBM

FBM is not without its downsides. We’re going to look at the limitations now so you can make an informed decision when you’re choosing between FBM and FBA. 

Lack of Storage Space

Avoiding storage costs is probably the most appealing aspect of FBM as balancing the costs of storage through FBA is dependent on sales. However, there are few independent sellers which can match the storage capacity Amazon offers FBA users.

If you’re going to use the FBM system, you will need to be able to store all of your products in a readily available space. 

Time Constraints 

Sellers typically must fulfill Amazon orders within two days, and that means you will need to ship products almost every day. Even if you’re a small seller whose product sells sporadically, you must prepare to ship high volumes of product and quickly. Which can turn the passive income that attracts many to e-commerce into a much more active endeavor. 

Sellers can still opt for third-party fulfillment services from other warehouses to perform the same tasks. However, these should be thoroughly researched and examined before engaging as Amazon often provides the best rates of the available services. 

Equipment And Other Costs

As an FBM seller, you will find yourself fronting the costs of packaging supplies such as thermal label printers, labels, containers, and any other packaging needs that arise. This is in contrast to going through FBA where Amazon factors these costs into fulfillment fees.

Customer Service

As we discussed before, FBM calls for a more personal touch to customer service which is a boon for any seller looking to engage their customers. However, this also comes with a drawback.

Through the FBM model, the seller becomes responsible for matching Amazon’s policies for returns, customer satisfaction, and timeliness. 

No Prime Badge 

Although FBM products can still offer 2-day shipping and free shipping, they’re not listed with the prime sticker that attracts many customers.

There is a rare exception for sellers grandfathered into the old Seller Fulfilled Prime model, but the program has long been “waitlist only.” 

How to Set Up for FBM

Armed with the knowledge of the pros and cons of FBM, you’re ready to decide which method is best for you.

So, how do you set up for FBM?

Simply, when listing a product on Amazon, select “I will ship this item myself” under Fulfillment Channel. FBA sellers can do the same by adding a new condition to their listing. 

Shipping

Shipping is where FBM gets a little more complicated.

You essentially have two options for fulfillment.

The first involves using Buy Shipping on your orders. Amazon will then offer the best available rates for your packaging requirements and supply labels. Amazon will then deduct these fees from your Amazon balance.

This is often the best option available for sellers as Amazon has negotiated rates with carriers to provide the cheapest available. Once you’ve obtained one of these labels you can simply apply it to your package and drop it off at the carrier of your choice.

Alternatively, you can use your own shipping accounts with carriers such as FedEx and the USPS. However, you will need to upload tracking information each time you use third-party services. Furthermore, alternative services come with their own shipping fees. 

Conclusion

It can be hard to choose between FBM and FBA at times. With the array of fees and costs that come with logistics, it becomes a daunting task to decide which option works best for your business.

Thankfully, Anata is here to provide you with guidance to make the right decision for your business.

Contact us today for help managing your Amazon Marketplace and getting the edge you need to compete. We help with everything from education to the total handling of your Amazon profile. Our goal is to free you from the tedium to focus on important things.

What fulfillment options are you using for your Amazon Marketplace?